FISCAL NOTE
FUND(S):
General Revenue Fund
Sources of Revenue:
General Fund
Legislation creates:
Neither Program nor Fund
Fiscal Note Summary
Effect this measure will have on costs and revenues of state government.
The stated purpose of this bill is to conform the provisions of the West Virginia Streamlined Sales and Use Tax statute, West Virginia Code §11-15B, to the current provisions of the Streamlined Sales and Use Tax Agreement.
As written, this bill provides a definition for specified digital products and provides that sellers are relieved of liability for failing to collect tax at a new rate if the State Tax Commissioner does not provide at least thirty days notice between enactment of a statute providing a rate change and the effective date of the rate changes. According to our interpretation, passage of this bill will result in conformity with the Governor’s official revenue estimates for FY2010.
Additional administrative costs to the State Tax Department associated with this bill will be minimal.
Fiscal Note Detail
| Effect of Proposal |
Fiscal Year |
2009
Increase/Decrease
(use"-") |
2010
Increase/Decrease
(use"-") |
Fiscal Year
(Upon Full
Implementation) |
| 1. Estmated Total Cost |
0 |
0 |
0 |
| Personal Services |
0 |
0 |
0 |
| Current Expenses |
0 |
0 |
0 |
| Repairs and Alterations |
0 |
0 |
0 |
| Assets |
0 |
0 |
0 |
| Other |
0 |
0 |
0 |
| 2. Estimated Total Revenues |
0 |
0 |
0 |
Explanation of above estimates (including long-range effect):
Passage of this bill provides a definition for specified digital products and provides that sellers are relieved of liability for failing to collect tax at a new rate if the State Tax Commissioner does not provide at least thirty days notice between enactment of a statute providing a rate change and the effective date of the rate changes. According to our interpretation, passage of this bill will result in conformity with the Governor’s official revenue estimates for FY2010.
Additional administrative costs to the State Tax Department associated with this bill will be minimal.
Memorandum
The stated purpose of this bill is to conform the provisions of the West Virginia Streamlined Sales and Use Tax statute, West Virginia Code §11-15B, to the current provisions of the Streamlined Sales and Use Tax Agreement as amended, to provide certain definitions of terms and to make certain technical and typographical corrections.
As written, the bill provides that sellers are relieved of liability for failing to collect tax at a new rate if the State Tax Commissioner does not provide at least thirty days notice between enactment of a statute providing a rate change and the effective date of the rate changes. However, existing W. Va. Code §11-15B-21 provides that the effective date of rate changes will be the first day of the calendar quarter that is at least 60 days after passage of the bill making the rate change.
Person submitting Fiscal Note: Mark Muchow
Email Address: kpetry@tax.state.wv.us